Goldman Sachs US bond view, analysts say that yield on the 10 year are ‘meaningfully’ above their estimate of fair value and risks are skewed to the dowside.
GS say they expect the US economy to falter in Q4, saying they are expecting a “growth pothole” in that quarter. And thus analysts there forecast a 25 bp, or thereabouts, fall in 10-year yields from current levels by year-end. This is pretty much a consensus call though.
GS add a cautionary note saying that without this or some other catalyst yields could turn around and carry on rising.